On 1 October 2020, Ham acquired 70% of the ordinary shares of Sam when the retained earnings of Sam stood at 600,000. At the date of acquisition, Ham considered the fair value of a building held by Sam to have a fair value 400,000 in excess of carrying value. The building had a useful life of 10 years with no residual value. Depreciation is charged on a monthly basis. On 31 December 2020 Ham reported Retained Earnings of 16.5m and the Retained Earnings of Sam was 1.2m. Between 1 October 2020 and 31 December 2020, inter-group sales from Sam to Ham were 800,000, on which Sam earned a gross margin on sales of 25%. Ham still holds part of this inventory at 31 December 2020 which it values at 600,000. The Group Retained Earnings reported in the consolidated Statement of Financial Position at 31 December 2020 (in 000s) is: O a. 16,820 O b. 16,500 O c. 16,950 O d. 16,913 O e. 16,808 Of. 16,815 O g. 16,920 O h. 16,763 On 1 October 2020, Ham acquired 70% of the ordinary shares of Sam when the retained earnings of Sam stood at 600,000. At the date of acquisition, Ham considered the fair value of a building held by Sam to have a fair value 400,000 in excess of carrying value. The building had a useful life of 10 years with no residual value. Depreciation is charged on a monthly basis. On 31 December 2020 Ham reported Retained Earnings of 16.5m and the Retained Earnings of Sam was 1.2m. Between 1 October 2020 and 31 December 2020, inter-group sales from Sam to Ham were 800,000, on which Sam earned a gross margin on sales of 25%. Ham still holds part of this inventory at 31 December 2020 which it values at 600,000. The Group Retained Earnings reported in the consolidated Statement of Financial Position at 31 December 2020 (in 000s) is: O a. 16,820 O b. 16,500 O c. 16,950 O d. 16,913 O e. 16,808 Of. 16,815 O g. 16,920 O h. 16,763